Employee Leasing Program?

I worked for a guy that used that before. It was a sham. We got hired by the leasing place who paid us minimum wage. Then he paid us a bonus on top of that so that we were making decent $. But then he only had to pay workers comp on the minimum wage.

But if someone got hurt, they'd only get minimum wage benefits!

As long as you're doing it legitimately, seems like it can't hurt.

However- how can they provide it FOR YOU cheaper? Seems like they are just doing what you'd be doing, but wouldn't they have to add a premium so they make a profit?

Or are they saying if you use them, you won't have to hire office staff to manage paperwork and all that crap?

love
nick
 
Using employment services provides flexibility in staffing without the expense involved in hiring and reduced operating costs such as those you mention. There costs for insurance and other payroll overburden are lower than small businesses.

Yes, they add a profit, don't we all? At the end of the day careful consideration should be given as to how it will serve the company best. Ideally this works with short term projects that generate increased staffing needs and regularly fluctuating staffing needs.
 
I wouldn't want to work with a new staff multiple times per month...

It would drive me crazy micro managing people.

I think there would be too many unsafe practices being unseen or waived off.

The very nature of the whole thing may force people to work too fast and drop quality.

Of course, these are all speculations.
smirk.gif
 
well i was under the impression that i could do the hiring and what not. so i could use guys i already know and save time and money from doing the hr stuff. ive been in business for 1 year and Im still very confused on the workers comp/ state tax/ federal tax stuff. so im looking for an easy solution to these problems.
 
Yes, you could do the hiring training and have them handle the payroll and other hr functions. This could be a good initial solution for a start up. They'll ensure the legitimacy of their credentials as well. That will help to ensure your prospective hires are legally eligible to work in the U.S.

Find out how long you're committed to them and what costs there will be if you then decide hire their employees and end the relationship with the company.
 
A temp agency or staffing company is very different from what marlinspiker is talking about. A PEO (or professional employer organization) lets you do the hiring and day to day management of your employees, while they handle payroll, workers comp, taxes, etc. They can also help you do interviews, give you training solutions, and provide employment law advice (like providing an employee handbook).

Here's a description from my local PEO's website:
[ QUOTE ]
The PEO typically handles the administration side of employment; establishing and maintaining employee files, processing payroll, filing payroll taxes, developing employee handbooks, benefit administration, workers compensation management, compliance assistance and human resource support.

A PEO is NOT a temp firm, staffing agency, a simple payroll service or placement agency.


[/ QUOTE ]

Here is the link to the TCIA article.

And you can find a PEO that does business in your state here.
 
I havent found a single PEO in my area that will cover the industry or a company as small as mine. Ill just stick to dealing with the state workers comp rate of 33 percent. I thought TCIA membership and having a ctsp on staff would help lower my rates but most insurers know nothing of the industry and the tcia recommended insurance people didnt give me the time of day. too small. Doing things right pays off eventually right? hahahaha.
 
Doing things right pays every day when you put your head on a pillow... but you know that already.

It's sad that TCIA doesn't do more for REAL small businesses, like, under 5 or 10 employees. Defining 'small' as under 250 (gub'mint definition) people is kinda off base.
 
[ QUOTE ]
It's sad that TCIA doesn't do more for REAL small businesses, like, under 5 or 10 employees. Defining 'small' as under 250 (gub'mint definition) people is kinda off base.

[/ QUOTE ]

Definitely. Reading their magazine continually illustrates how far out of touch they are with "small" businesses. I dropped their membership this year.
 
The definition of "small" isn't their own. It's what is used in the US for statistical purposes. Sucks big time considering that most are in the range of 1-20.
 
Maybe a group of small companies could band together and purchase an umbrella program that would offer basic benefits at affordable rates. Kind of an industry specific epo.
 
I think we could probably gather a group of small business owners from the buzz crowd and start writing and calling in. They are actually very easy to talk with. Until now I wasnt sure what they were really doing for my company outside of providing us with another venue to advertise, a framework for safety and some interesting business tips. Most of the safety stuff is geared towards larger orgs although I really like the employee development programs. Is it worth 300 dollars a year? We have never gotten a single lead from their site and our safety culture is engrained as most of us have worked for bigger tcia accredited outfits. Having a larger group of small business owners coming out at once and asking for a more tailored insurance program hopefully may start the wheels turning.
 
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